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169。 2022 by Prentice Hall 3 Chapter Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall STUDENT LEARNING OBJECTIVES Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems ? How does Porter’s petitive forces model help panies develop petitive strategies using information systems? ? How do the value chain and value web models help businesses identify opportunities for strategic information system applications? ? How do information systems help businesses use synergies, core petencies, and workbased strategies to achieve petitive advantage? 169。 2022 by Prentice Hall ? How do peting on a global scale and promoting quality enhance petitive advantage? ? Evaluate the role of business process reengineering (BPR) in enhancing petitiveness. STUDENT LEARNING OBJECTIVES (Continued) Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall Apple’s iTunes: Music’s New Gatekeeper ? Problem: Taking advantage of opportunities from new and disruptive technology, staying ahead of traditional petitors. ? Solutions: Launched iPod and set up iTunes Music Store to create a marketplace for portable, downloadable music. Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall Apple’s iTunes: Music’s New Gatekeeper ? Partnerships with artists and recording labels allow iTunes to supply exclusive content in return for driving sales and increasing popularity. ? Illustrates digital technology’s role in gaining and maintaining a petitive advantage. Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall ? Disruptive technologies: – Technologies with disruptive impact on industries and businesses, rendering existing products, services and business models obsolete, .: ? Personal puters ? World Wide Web ? Inter music services 169。 2022 by Prentice Hall iPod是 APPLE推出的一種大容量 MP3播放器 ,采用 Toshiba出品的 儲(chǔ)介質(zhì),高達(dá) 10~ 160GB的容量,可存放2500~ 10000首 MP3歌曲,它還有完善的管理程序和創(chuàng)新的操作方式,外觀也獨(dú)具創(chuàng)意,是 APPLE少數(shù)能橫跨 PC和 Mac平臺(tái)的硬件產(chǎn)品之一,除了 MP3播放, iPod還可以作為高速移動(dòng)硬盤使用。 169。 2022 by Prentice Hall Apple’s iTunes: Music’s New Gatekeeper Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall : An Inter Giant FineTunes Its Strategy ? Problem: Taking advantage of opportunities from new technology, staying ahead of power petitors. ? Solutions: Set up warehouse and distribution chain to sell on the Web and reduce costs. ? Partnerships with other businesses, online storefront, and Webbased digital services provide emerce services to other businesses and increase sales. ? Demonstrates IT’s role in innovating and refining a business model. ? Illustrates digital technology’s role in gaining and maintaining a petitive advantage. Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall ? Way to understand petitive advantage ? Five petitive forces shape fate of firm 1. Traditional petitors ? Competitors in market space continuously devise new products, new efficiencies, switching costs 2. New market entrants ? Some industries have low barriers to entry ? . food industry vs. microchip industry ? Newer panies may have advantages ? Newer equipment, younger workforce, etc. Porter’s Competitive Forces Model Using Information Systems to Achieve Competitive Advantage Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall 3. Substitute products and services ? Substitutes customers can purchase if your prices too high ? . Inter music service vs. CDs 4. Customers ? Can customers easily switch to petitor’s products? ? Can customers force firm and petitors to pete on price alone (transparent marketplace) 5. Suppliers ? The more suppliers a firm has, the greater control it can exercise over suppliers Porter’s Competitive Forces Model Using Information Systems to Achieve Competitive Advantage Essentials of Business Information Systems Chapter 3 Achieving Competitive Advantage with Information Systems 169。 2022 by Prentice Hall Figure 31 In Porter’s petitive forces model, the strategic position of the firm and its strategies are determined not only by petition with its traditional direct petitors but also by four forces in the industry’s environment: new market entrants, substitute products, customers, and suppliers. Porter’s Competitive Forces Model Using Information